Pakistan is looking to buy additional spot LNG cargoes for July and August delivery as the fresh halt to Strait of Hormuz traffic has disrupted shipments from its term supplier, Qatar. The Pakistani government is close to finalizing a plan to buy on the spot market at least one additional LNG cargo for delivery this month, and as many as six for August delivery, unnamed sources familiar with the development told Bloomberg on Friday. This week, state-controlled Pakistan LNG Ltd has bought the most expensive cargo of liquefied natural gas on…
LNG Market Background
The global LNG market has undergone a structural transformation in recent years, with U.S. exports reshaping trade flows and providing consuming nations with greater supply optionality. European buyers have accelerated long-term LNG contracting following the disruption of Russian pipeline gas supplies.
New LNG liquefaction capacity — from the U.S. Gulf Coast, Qatar's North Field expansion, and Australian projects — is expected to add significant supply volumes through the late 2020s, with implications for long-term contract pricing and spot market dynamics.
What to Watch
Stakeholders will be tracking spot LNG cargo pricing in Asian and European markets, liquefaction plant utilization rates, and upcoming long-term supply contract negotiations as global LNG trade flows continue to evolve.
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